Enbridge Energy Partners Closes Sale of Natural Gas Companies
Enbridge Energy Partners and its wholly owned affiliate Enbridge Midcoast Energy has sold several natural gas pipeline companies to Denver-based American Midstream Partners. The sale closed as of Nov. 1 and is valued at approximately $151 million.
Included in the sale are two interstate gas pipeline companies—Enbridge Pipelines (Midla) LLC, whose pipelines are located in Louisiana and Mississippi, and Enbridge Pipelines (AlaTenn) LLC, whose pipelines are located in Alabama and Tennessee—as well as 10 additional intrastate gathering or transmission pipeline companies with facilities located primarily in Louisiana, Mississippi, Alabama and Tennessee.
"With the funds generated by this sale of non-core assets, the partnership [between Enbridge Energy Partners and Enbridge Midcoast Energy] greatly reduces the need to issue equity to fund its current expansion program through 2010," says Terrance McGill, president of the partnership's management company and of its general partner.
Enbridge Energy Partners owns and operates a diversified portfolio of crude oil and natural gas transportation systems in the United States. Its principal crude oil system is the largest transporter of growing oil production from western Canada. The system's deliveries to refining centers and connected carriers in the United States account for approximately 11 percent of total U.S. oil imports; while deliveries to Ontario, Canada, satisfy approximately 60 percent of refinery demand in that region. The partnership's natural gas gathering, treating, processing and transmission assets, which are principally located onshore in the active U.S. Mid-Continent and Gulf Coast area, deliver approximately 3 billion cubic feet of natural gas daily. |
